Nifty 50 above 22,600 points, Sensex crosses 74,600; Fresh all-time highs for both indices in early trade

The Indian stock market started the new week on a positive note. Both the benchmark stock indices, Nifty 50 and Sensex, recorded fresh life highs in early trade.

The Sensex index opened at 74,555.44, and advanced to an all-time high of 74,658.95. The broader Nifty 50 index opened at 22,578.35 and advanced to an intraday and lifetime high of 22,623.90 in early trade

Tata Steel’s shares rose over 2 per cent to touch a 52-week high of Rs 166.85 apiece within minutes of the opening bell. The stock was the top gainer in both Nifty and Sensex indices.

What caused the rally?

Positive global cues are one reason behind the optimism in the Indian stock market on Monday.

On Friday, stocks in the United States closed higher on the back of strong jobs report. The latest data emboldened the view that the US economy remains healthy and the share market buoyant. That has provided the global support for equity markets like India.

Domestically, the expectations around the upcoming results for financial year 2023-24 (FY24) is also providing support to the market. Especially for the financial sector, results are expected to be good.

Outlook for this week

Deven Mehata, an analyst at Choice Broking, said that “Nifty can find support at 22,400 followed by 22,350 and 22,300. On the higher side, 22,600 can be an immediate resistance, followed by 22,650 and 22,700."

He said that Indian markets are trading very close to all-time high levels and advised traders holding long position from lower levels to hold.

In a note, Geojit Financial said that they acknowledge 22,530 as a crucial challenge for Nifty to clear before embarking on the 22,700-23,200 run. The brokerage firm’s Chief Investment Strategist, Dr. V K Vijayakumar said “The Q4 results season will kick start results of TCS on April 12. For IT companies, results will be tepid and, therefore, market response will depend on the management commentary. Results of financials will be good and this can push up Bank Nifty higher led by banking majors like HDFC Bank, ICICI Bank etc.

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